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Published on
May 23, 2025
5 min read
Apple Boosts iPhone Trade-In Value as it Pursues Lost Market Share in China
Apple has raised the amount that its customers in China can get if they trade in an old device. According to CNBC, Apple’s trade in China campaign is aimed at offering incentives to buyers as the US big tech seeks to boost sales in the Asian market.
Revitalizing Sales
Apple’s trade-in value increase will be available to Chinese customers until June 18. The promotion in China isn’t generic. Rather, it is a well-thought, tactical strategy designed to win back customers who have shifted to other brands. It is designed to leverage the 618 shopping festival, which is one of the largest annual retail events in China.
For the last one year, Apple has offered discounts in China, particularly during holiday seasons. Although the latest trade-in value increase is not huge, it points to Apple’s plan to revitalize iPhone sales in China. Apple has faced declining sales and a shrinking market share in China as competition from local rivals intensifies.
During the offer, the trade-in value for iPhone 15 Pro Max will be 5,700 Chinese yuan, up from 5,625 yuan. iPhone 15 Pro model will be traded in for 4,750 yuan, which is a 25 yuan increase from the previous trade-in price. In China, the price of a new iPhone 5 Pro Max starts at 7,999 yuan.
Regaining Lost Market Share
With the latest trade-in value increase, Apple is also seeking to regain the Chinese market share it lost to domestic players like Huawei and Xiaomi. The trade-in incentive allows current customers to get credit for a new device and is accessible both online and in physical stores.
“With Apple Trade-In, you can trade in your current device for credit toward a new device at a great price online or at an Apple Store. If your device isn’t eligible for credit, we’ll recycle it and your old accessories for free. It’s not only good for you, but it helps protect the planet’s precious resources, too,” Apple posted on its website.
Apple’s iPhone shipment to Chinese buyers dropped by 8% In quarter one of this year. Its smartphone market in the Asian country also dropped from 15% to 13% in the same period according to statistics from Canalys. Apple reported that the drop in sales also happened in the larger China region which includes Taiwan and Hong Kong.
The company is offering the incentive alongside regular discounts that are currently available on Chinese e-commerce platforms. Some of the discounts are as high as $351 off for some iPhone 16 models.
The Supply Chain Question
Besides the dipping sales revenue and the shrinking market share, Apple faces another challenge in China – supply chain disruptions caused by the US-China trade war.
Apple has been assembling 90% of iPhones in China through global contractor, Foxconn. Trade tensions between the two countries caused the US big tech company to consider shifting iPhone production to India, a move that did not please US President Donald Trump. The President asked Apple CEO Tim Cook to shift Apple manufacturing in the US States instead.
The US has temporarily paused most tariffs on China. However, negotiations are still ongoing, and it remains unclear whether the US will announce a special levy on chips and other electronics.
Apple faces stiff market competition from Huawei in China. For the last 17 months, Huawei has experienced significant revival in the domestic market. Huawei’s revival has been attributed to its aggressiveness in launching new devices and its Ascend AI chip breakthrough.
Another big competitor is Xiaomi, which currently holds the largest smartphone market share in China. Xiaomi has been increasing its presence in the high-end device market to compete with Apple. On May 22, the company unveiled its latest smartphone, Xiaomi 15S Pro. The new smartphone comes with an in-house designed chip.
This raises the profile of the Chinese company, placing it among the few firms that have successfully launched a product powered by their own chip. Xiaomi announced plans to spend $7 billion on development of additional chips in the next 10 years. This plan reflects its ambition to compete directly with Huawei and Apple.
